BUDGET DEBATE

Grey River Argus, 11 September 1948, Page 7

BUDGET DEBATE

Import licenses Questioned P.A. WELLINGTON, Sept. 10.. The Budget debate was resumed in the House of Representatives this afternoon. Mr. J. J. Maher (Nat., Otaki), said that a public apology should have been made to the Maori race by an Australian Federal Minister who was concerned in placing of restrictions on the entry to Australia of Maori people. He went on to say, in reply to an interjection, that he could have been in the House many years ago had he stood for election. He should have been in the 1943 election, but there was nobody to prove that he won where he spoke to the people. He could not help the burning of soldiers’ votes. He had heard of people being burned out, but-this Government had burned itself in. He suggested that, in addition to the names of income tax evaders, the names of those who received import licences in 1938 should also be published in the Gazette. Would the Government state the volume and the nature of the goods for which licences were received, so that people could see just who got the advantage of licences ? That would be the way to exterminate black marketeers,, and, from what he heard everywhere, he travelled, there was a huge amount of racketeering in import, licences. EXCHANGE PARITY — f — Mr. J. N. Massey (Nat., Franklin) said the 25 per cent, exchange rate had been written into the cost structure of the country, but so far no Government speaker had given any indication' that consequences of restoring New Zealand currency to parity with sterling had been ,considered as widely as they should. The Government, by adjusting exchange,/ had handed over to Australia and! other countries trade which New Zealand had enjoyed while the 25 per cent, exchange rate was operating. There was an over-supply of potatoes in the South Island. Did that mean New Zealand had lost potato trade in the Pacific to Australia ? Had we also lost the onion trade in the same way ? Was the Government prepared to subsidise growers and manufacturers so that they could carry out contracts ? The country wanted to know what the Government was going to do to settle those problems. The exchange adjustment would put many citrus growers out of business. Citrus fruit was rotting > under the trees in North Auckland. Mr. A. G. Osborne (Government, Onehunga): Because produced an abundant crop this year ! Mr. Massey said that the fruit was. allowed to rot while the public was denied supplies. Yet the Government was making provision for bringing sweet oranges into the country. MAORIS AND ROYALTY Mr. T. P. Paikea (Government, Northern Maori) said the Maori people of the Taranaki district would be disappointed that no Royal visit would be made to historic Manukorihi pa, Where it was hoped that His Majesty would invest Sir Peter Buck with the knighthood. However, there was to be a Royal visit to Waitangi and, as Sir Peter Buck had represented the northern people in Parliament he (Mr. Paikea) and his elders were proposing to visit the Taranaki people to see whether they would support the suggestion for the investiture to be made at Waitangi. NEXT BUDGET WILL SETTLE THE OPPOSITION! — < —. Mr. C. H. Chapman (Govt., Wellington Central) said the sales tax was levied principally on luxuries. There was no sales tax on food, or on the major items of household expenditure.- Members of the Opposition spoke with several voices on the exchange question, and they then excused themselves by saying that they had freedom to express their own views. The consternation with which the Opposition had heard of the restoration of the New Zealand currency to parity with sterling was as . nothing compared with the dismay and the exasperation with which the Opposition would receive next year’s Budget. Opposition voices: “Oh I” Mr. Chapman said that the next Budget would be most valuable to the Labour Government, and he had no doubt that, after it had been presented, Labour would again be successful, and would remain in office for many years. Labour’s policy remained one of helping those on the lower rung of the social ladder. It was not correct that Labour was opposed to people owning their own homes. Labour had assisted thousands of people to obtain she freehold of their homes and their farms. Mr. Doidge (Nat., Tauranga): “What is being done for those who have no homes ?” NATIONALIST ATTACKS CO-OPERATIVE SOCIETY Mr. W. H. Fortune (Nat., Eden): said there should be absolute frankness in the presentation of public accounts. The people of New Zealand who were taxpayers and shareholders in “this big business of the Government,” had the right to know all about the finances of the State, as had the shareholders in any public company. Mr. Fortune referred to the balance sheet of the Hutt Valley Consumers’ Co-operative Society Limited. He said that for the year ended March 31st. last, a turnover of more than £76,000 was shown, with a net profit of only £404. Any normal trader would have sat up and taken notice of such a ridiculously small profit as that. The capital stood at £4,629, the liabilities at £23,246, including the Bank of New Zealand for £9,700. Apparently an unsecured balance of £14,700 was owed to sundry creditors. It looked as if members 'of that co-operative society would run every chance of losing all they had put into it. He said that, among the assets, were two items,the cost of the establishment £1,900, and the appropriation account of £950. These indicated that half the capital had gone already. The auditor had drawn attention to the fact that the members’ register was not kept in accordance with the Society s rules, and he could not vouch for the accuracy of the records, and that he was of opinion that there was not an adequate system of internal check in particular to cover the receipt of the Society’s incoming cash. Everything might be all right, continued Mr. Fortune, but such a small profit would speak volumes to 'any ordinary trader, and any auditor, would immediately become suspicious. After a survey of other remarks made ‘by the auditor, he said that it was no wonder that the director’s report remarked that it was apparent that the Society was not obtaining the number of new members which they would normally' expect, and that many residents of the housing areas were prepared to lend somewhat unwilling support to the co-operative movement, but the same people were not so willing to face up to the responsibility of carrying their share of the cost involved in the Society s development and consolidation. Mr. Fortune said that there were definite links between Fabian Socialists and Marxist Communists. He said the one merged easily with, t he other. To claim that Socialism was applied Christianity was as logical as to speak of atheistic Christianity. He

said that democratic socialism was a contradiction in terms. MEMBER FOR WESTLAND ~Mr. J. B. Kent (Govt, Westland) expressed his regret that the Royal tour did not ,allow for Their Majesties to see the West Coast Glaciers, which, he claimed, were outstanding among New Zealand’s scenic attractions. Mr. Kent said that this Budget should be known as the Sterling Budget, because of the benefits it conferred, in ' conformity with Labour’s tradition of doing the greatest good for the greatest number. Opposition speakers had complained about inflation, but did they claim that the New Zealand pound, at sterling parity was still an inflated currency ? The Opposition had suggested that reduced spending power was a cure for inflation, but it was usually not their own purchasing power or their unearned income such critics sought to reduce. It was more likely to be the income of the wage earners. The debate was adjourned and the House rose at 5.17 until 2.30 on Tuesday, for the week-end recess. %